1542 Insurance claim. Other maritime claims. Inapplicability in certain cases. "Vessel owned by a contracting (Goern- ment." Bare boat charters. Right to assert sov- ereign immunity. INTERNATIONAL AGREEMENTS OTHER THAN TREATIES [59 STAT. that the claim if made would ultimately be borne by such other Government. (4) Each contracting Government undertakes not to make any claim in respect of any vessel or cargo insured by it to which it may be entitled by virtue of any right of subrogation either- (a) Directly against the other contracting Government; or (b) In any case where such other Government represents that such claim if made would ultimately be borne by such other Government. (5) Each contracting Government agrees to extend the prin- ciples of this Agreement to such other Maritime claims as may from time to time be agreed between them. ARTICLE 2. Where in any case claims arise which are not re- quired to be waived by this Agreement in addition to or in con- junction with claims which are so required to be waived and it is necessary in any proceedings including proceedings for the limitation of liability that claims be marshalled or for the proper assessment of any salvage or general average that values should be estimated, the provisions of this Agreement shall not apply but claims which would otherwise be required to be waived under this Agreement shall be asserted. Any recoveries, how- ever, shall be waived by the Government entitled to such re- coveries or at the option of such Government shall be dealt with in such other way as will give effect to the purposes of this Agreement. ARTICLE 3 (1) For the purpose of this Agreement the expres- sion "vessel owned by a contracting Government" includes a vessel on bareboat charter to a contracting Government or requisitioned by a contracting Government on bareboat terms or time chartered to or otherwise operated by or for, a contract- ing Government on terms which authorize such Government to make this Agreement effective with respect to such vessel. (2) In order to carry out the full intention of the provisions of Article 1 of this Agreement each contracting Government will so arrange in connection with bareboat charters to it that the owners or persons interested through such owners shall not have or assert any claims of the character specified in Article 1. (3) Each Government represents that in no case in which a claim arises under any insurance that has been or will be effected on any ship or cargo owned by such Government, or by any wholly-owned agency or instrumentality of such Govern- ment, shall any rights that can be exercised against the other Government be subrogated to the insurers concerned insofar as the insurer's liability relates to claims which are required to be waived by this Agreement. ARTICLE 4. Nothing in this Agreement shall be construed as a waiver of the right of either contracting Government in appro- priate cases to assert sovereign immunity.
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